1. Research thoroughly
2. Provide a thorough breakdown of expenses
3. Review your company's cash flow history
Entrepreneur recommends taking a look at revenue forecasting with two specific mindsets: the optimistic approach and a more conservative estimate. You always want to hope for a high level of success for your company, so the optimistic estimation looks at a best-case scenario for your business. The conservative revenue forecast takes a more measured approach to determine how much your company will bring in during the coming year.